Credit Agricole on what’s next
According to Fed’s Williams both April and June have the potential for rate hikes. He added that the US economy is looking great in isolation and that it proved remarkably resilient to global factors. He added that if it weren’t for global factors, they would have hiked sooner. Looking ahead, we share the view that there is only limited room of even further falling Fed monetary policy expectations. This is especially true as market expectations of marginally more than 30bp in terms of tightening for the reminder of the year stand in contrast to the Fed’s own projections. In line with our own expectations, the Fed anticipates two more hikes this year
